Crude oil prices shrugged off API information display US inventories combined 6.8 million barrels final week. Though a boost surpassed a 4.4 million tub build approaching from a central EIA information due after today, markets were clearly well-primed for a rave pleasantness of refinery disruptions from Hurricane Harvey and took a outcome in stride. Rather, a visual upswing saw a WTI benchmark deposit aloft after Friday’s plunge.

A flushed monthly news from a IEA seems to be charity oil a serve lift. The group upgraded a 2017 direct guess to a tip given 2015, citing clever ardour from Europe and a US even as Chinese uptake slows. It also offering an enlivening comment of OPEC-led prolongation cut efforts, observant reserve outward a conglomeration entirely complied with their share of outlay rebate for a initial time.

The news seemed to tip a beam in oil’s preference after opposing monthly estimates from a DOE and OPEC crossed a wires yesterday. The former lowered a direct projections while a latter nudged them upward. Barriers restraint upside follow-through seem to be comparatively singular in a nearby term. It would substantially take a dramatically vast EIA build good in additional of API’s projection to broach a turn-around.

Gold prices noted time as investors looked forward to incoming US acceleration data. PPI total are set to uncover factory-gate cost expansion accelerated for a initial in 4 months in August, attack an on-year rate of 2.5 percent. An upside warn echoing recently firming US news-flow competence boost Fed rate travel bets and import on a yellow metal, yet follow-through competence have to wait for higher-profile CPI information due Thursday.

GOLD TECHNICAL ANALYSIS – Gold prices are digesting waste after pang a largest dump in dual months. Support is in the1315.35-21.51 area (23.6% Fibonacci retracement, trend line), with a daily tighten next that targeting a 1295.46-99.25 section (38.2% level, double top). Alternatively, a pull behind above a 14.6% Fib during 1335.24 exposes a Sep 8 high during 1357.50.

Chart combined regulating TradingView

CRUDE OIL TECHNICAL ANALYSIS – Crude oil prices continue to float nearby trend line insurgency capping gains given February. From here, a daily tighten next a Sep 11 low during 46.98 opens a doorway for a exam of a Aug 31 bottom during 45.57. Alternatively, a mangle above a Sep 6 high during 49.39 – a pierce that would also take out trend line insurgency – paves a approach for a plea of a Aug 1 tip during 50.40.

Chart combined regulating TradingView

— Written by Ilya Spivak, Currency Strategist for DailyFX.com

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